A vegetable vendor counts Indian rupee banknotes at a vegetable market in Mumbai, India, on Wednesday, July 20, 2022. The rupee slid to all-time low of 80.06 per dollar on Tuesday, and has lost 2.4% over the past month, the third-worst performing Asian currency over the period. Photographer: Dhiraj Singh/Bloomberg
A vegetable vendor counts Indian rupee banknotes at a vegetable market in Mumbai, India, on Wednesday, July 20, 2022. The rupee slid to all-time low of 80.06 per dollar on Tuesday, and has lost 2.4% over the past month, the third-worst performing Asian currency over the period. Photographer: Dhiraj Singh/Bloomberg

Analysts see an to end bearishness on emerging-market currencies

A strengthening dollar, the yuan’s relentless slide and war in Ukraine have been a toxic mix for emerging-market currencies this year. The MSCI’s gauge of emerging-market currencies has weakened about 8% this year, near the record annual drop of 8.7% posted during the 2008 crisis.
Published on

By Colleen Goko

(Bloomberg) — Money managers from Citigroup Inc. to Morgan Stanley are positioning for peak inflation and a less aggressive monetary policy from the Federal Reserve: Their first port of call is emerging-market currencies.

Citigroup strategists including Luis Costa downgraded their dollar position from overweight back to neutral in the bank's model portfolio. The move came on Monday amid a risk-on shift that saw equities and bonds shrug off a string of bad news — from China's affirmation of its strict Covid Zero policy to hiccups in US corporate performance.

___STEADY_PAYWALL___

Loading content, please wait...

Related Stories

No stories found.
BizNews
www.biznews.com